: A market gardener is planning his production for next season and he asked you, as a cost consultant to recommend the optimum mix of vegetable production for the coming year. He has given you the following data relating to the current year:

8 Particulars Potatoes Tomatoes Peas Carrots Area occupied in acres 25 20 30 25 Yield per acre in tons 10 9 12 Selling Price per ton 1,000 1,250 1,500 1,350 Variable Cost per acre: Fertilizer (3) 300 250 450 400 Seeds (5) 150 200 300 250 Pesticides (5) 250 150 200 250 Direct Wages (*) 4,000 4,500 5,000 5,700 Fixed Overhead per annum 5,40,000. The land which is being used for the production of carrots and peas can be used for either crop but not for potatoes and tomatoes. The land being used for potatoes and tomatoes can be used for either crops but not carrots and peas. In order to provide an adequate market service the gardener must produce each year at least 40 tons of each of potatoes and tomatoes and 36 tons of each peas and carrots. You are required to present a statement to show. (a) (1) The profit for the current year. (2) The profit for the production mix you would recommend: (b) Assuming that the land could be cultivated in such a way that any of the above crops could be produced and there was no market commitment. You are required to: Activate Windows (1) Advice the market gardener on which crop he should concentrate his production. Go to Settings to activate Wind (2) Calculate the profit if he were to do so, and